TLDR:

Ethereum stablecoin supply reached $180B, up 150% in three years, holding 60% of the total market share.
Token Terminal projects up to $850B in Ethereum inflows by 2030, even if its market share drops to 50%.
Public crypto sales fell 93% in eight months, dropping from $698M in June 2025 to $46.8M in February 2026.
Private fundraising remains strong, with December 2025 recording $14.5B raised across all crypto funding rounds.

Ethereum stablecoin supply has crossed $180 billion, marking a new all-time high according to Token Terminal data. This figure represents a 150% increase over the past three years.

Ethereum currently holds approximately 60% of the total stablecoin market. Meanwhile, public crypto fundraising has dropped sharply in early 2026.

The contrast between stablecoin growth and declining public sales tells a broader story about shifting capital flows in the crypto market.

Ethereum Leads Stablecoin Market With Strong Growth Projections

Token Terminal data confirms that Ethereum’s stablecoin supply has reached a record $180 billion. This growth of 150% over three years shows sustained demand for dollar-pegged assets on the network. Ethereum’s 60% market share makes it the dominant chain for stablecoin activity by a wide margin.

Looking ahead, Token Terminal estimates up to $1.7 trillion could move onchain over the next four years. Even in a conservative scenario, Ethereum stands to benefit significantly from this projected capital movement.

If Ethereum’s market share falls to 50%, the network could still receive roughly $850 billion in additional inflows by 2030.

That projection points to sustained institutional and retail confidence in Ethereum as settlement infrastructure. The stablecoin figures are not just a metric—they reflect real liquidity sitting on the network. More stablecoin supply generally means more transactional activity and fee generation over time.

The growth also comes as competing chains expand their ecosystems. However, Ethereum’s lead in stablecoin dominance remains structurally intact for now. The $180 billion figure sets a new benchmark for the broader onchain economy.

Public Fundraising Drops While Private Capital Stays Active

Crypto analyst Stacy Muur posted a Q1 2026 snapshot showing public sales at their lowest point in two years. February 2026 raised just $46.8 million across IDO, ICO, and IEO formats combined. For comparison, June 2025 brought in approximately $698 million — a 93% drop in just eight months.

However, total fundraising across private rounds tells a different story. December 2025 recorded roughly $14.5 billion raised when private rounds are included.

January 2026 followed at $2.17 billion, and February came in at $1.21 billion. The money has not left crypto — it has simply moved away from public channels.

By chain, Solana led in dollars raised through public rounds over the past year. BNB Chain recorded the highest number of sales at 251, followed by Ethereum at 146 and Solana at 115.

Emerging chains like Base, Sonic, Monad, and Unichain appeared in the data but remain relatively small players.

Launchpad returns are also highly concentrated at the top. Binance Wallet posted a 482.6% return on investment, with PancakeSwap’s Cake.pad at 300.7% and Nozomi Network at 200.4%.

Below the top five, performance drops sharply, with several platforms recording negative returns. Infrastructure and DeFi dominate category fundraising, while GameFi and NFT sales have faded considerably from their 2024 peaks.

Market analysts say Ether (ETH) could be ready for a “regime shift” as buying pressure builds up, but bulls must hold $2,000.

Key takeaways:

Ether shows resilience above $2,000, as onchain data shows signs of returning demand, suggesting a possible “regime shift”.

ETH price support around $1,800-$2,000 needs to hold for a positive trend change.

Ether buyers are “prevailing”

Ether’s net taker volume suggests the “formation of a stronger bottom“ as demand for ETH derivatives returned, data from CryptoQuant shows. 

Net taker volume, a metric that measures the imbalance between aggressive buyers and sellers in derivatives markets, has remained positive since March 6.

Related: Ethereum Foundation nearly reaches 70,000 staked ETH goal

The chart below shows that while the net taker volume has remained negative most of the time since 2023, it is now positive, rising to as high as $140 million on March 16.

Currently, the indicator shows that “buying pressure is prevailing, with $104 million,” CryptoQuant analyst Darkfost said in an X post on Tuesday. 

“This is the first time since the previous bear market that we are witnessing such a regime shift in Ethereum derivatives,” the analyst said, adding:

“If this dynamic persists and the spot market and ETFs begin to support the move, Ethereum could potentially restart a positive trend.”

The futures open interest (OI), the total number of outstanding futures contracts that have not been settled or closed, further reinforces this picture.

The metric now stands at now stands at 6.4 million ETH, close to its all-time high of 7.8 million ETH reached in July 2025.

“After falling to 5 million ETH in October, open interest has gradually recovered,” Darkfost said in an X post on Sunday, adding:

“Derivatives markets on Ethereum remain highly active.”

Meanwhile, spot Ether ETF flows flipped positive, with these investment products recording $120 million in net inflows on Monday, the highest since mid-March.

This pointed to a return in demand from US investors following a couple of days of outflows, which could propel ETH price higher.

Ether price must hold above $2000

On the price chart, ETH/USD remains cautiously bullish as long as it holds the $1,800-$2,000 support zone. This is where the 20-day exponential moving average (EMA) and the lower boundary of a symmetrical triangle converge.

“As long as the $2,000 support zone holds, Ethereum could have another upside move,” analyst Ted Pillows said in a Tuesday X post, adding:

“Losing the $2,000 level means a new yearly low could happen soon.”

The importance of this support level is reinforced by cost basis distribution. The heatmap below shows that over 3.5 million ETH were acquired for around $2,000.

Below that, the next line of defence is the $1,750-$1,800 demand zone, where investors acquired 1.36 million ETH.

If the ETH price drops below this level, it would be on a free-fall toward the measured target of the symmetrical triangle at $1,460, or 30% below the current price.

As Cointelegraph reported, holding $1,800-$2,000 would be a sign of strength among the bulls who must push the ETH/USD pair above the $2,400 range high to regain control. 

Bitcoin’s price has lately struggled to generate sufficient demand to push itself higher. Especially since bearish sentiment has continued to dominate.

However, shifting dynamics among short-term holders may be emerging. These could influence Bitcoin’s [BTC] trajectory, particularly if a near-term bullish scenario unfolds.

Bitcoin to $64,000 may trigger bulls

Data from CryptoQuant highlighted the cost basis of short-term holders—the average price at which they purchased Bitcoin—revealing a potential market pattern.

STHs who bought within the last month have an average cost basis of approximately $85,450. At Bitcoin’s press time price, this puts them at a 19% unrealized loss – A significant drawdown.

Historically, when the STH cost basis drops to 25% or lower, it often marks a market bottom. At a 19% loss, Bitcoin would need an additional 6% decline—bringing it to roughly $64,000—before conditions for a rebound may emerge.

At these levels, two behaviors typically occur – Some STHs hold longer, while others sell, unable to bear further losses. For Bitcoin to reach a historical low and potentially repeat past fractal patterns, the selling from the latter group is usually required.

Foundations for a rally

Signs of a foundational shift may be forming too. In fact, some short-term holders are already taking actions that could tighten Bitcoin’s supply dynamics.

At the time of writing, reports from CryptoQuant hinted at an ongoing transition from STHs to LTHs – Generally positive for Bitcoin. Long-term holders, investors who have held Bitcoin for at least six months, tend to reduce the likelihood of sudden sell-offs.

In fact, approximately 300,000 BTC have recently moved from STHs to LTHs, representing around $27 billion removed from the liquid market.

This reduced supply can support price stability, especially during downtrends, as LTHs are less likely to sell under pressure.

Exchange reserve dynamics

Another critical metric is the availability of Bitcoin on exchanges, reflected in the exchange reserves. High reserves can increase selling pressure as more Bitcoin is readily available for trading.

At the time of writing, exchange reserves stood at 2.45 million BTC, declining slightly from a high of 2.46 million on 02 April.

A sustained decline in exchange reserves would indicate tightening supply, which could reduce the risk of major price drops. Nevertheless, exchange flow dynamics will remain crucial for any rebound to levels historically associated with market bottoms.

Final Summary

Short-term holders are at a 19% unrealized loss and a further 6% decline could push Bitcoin towards levels historically associated with market bottoms.
Over 300,000 BTC previously held by STHs have not yet transitioned to long-term holders.

Some past enforcement actions against cryptocurrency companies lacked clear investor benefit and misinterpreted federal securities laws, the US Securities and Exchange Commission (SEC) said on Tuesday. 

Since the 2022 fiscal year, the SEC brought 95 actions and $2.3 billion in penalties for “book-and-record violations,” it said in a statement about its enforcement results for 2025. 

“Together with seven crypto firm registration-related and six ‘definition of a dealer’ cases, these cases identified no direct investor harm from those violations, produced no investor benefit or protection.” 

It also reflected a “bias for volume of cases brought versus matters of investor protection,” a misallocation of resources and a misinterpretation of federal securities laws, the SEC said. 

It is the latest example of the regulator’s shift in approach towards enforcement since it came under new leadership under SEC Chair Paul Atkins in April 2025. 

His predecessor, former SEC Chair Gary Gensler, has been accused of pursuing a regulation-by-enforcement approach toward crypto. Since his departure, the SEC has adopted a friendlier stance toward digital assets.

SEC said it is shifting its focus to quality over quantity

In the lead-up to Donald Trump’s 2025 inauguration, the SEC enforcement division engaged in an “unprecedented rush” to bring cases and moved ahead with an “aggressive pursuit of novel legal theories,” the agency said.

Atkins said the agency has since shifted away from this approach, ending regulation by enforcement and refocusing on the commission’s core mission by prioritizing cases that provide meaningful investor protection and strengthen market integrity.

“We have redirected resources toward the types of misconduct that inflict the greatest harm—particularly fraud, market manipulation, and abuses of trust—and away from approaches that prioritized volume and record-setting penalties over true investor protection,” he added.

Consulting firm Cornerstone Research reported in November that under Atkins, the number of enforcement actions against public companies, including those involving crypto, decreased by about 30% in fiscal 2025 compared with fiscal 2024.

In connection with 2025 enforcement actions, the SEC said it obtained orders for monetary relief totaling $17.9 billion, comprising $7.2 billion in civil penalties and the remainder in disgorgement and prejudgment interest.

Related: Crypto market safe harbor lands at White House for review

“This year’s enforcement results clarify the flaws of these actions and their respective penalties and re-establish the definition and measure of enforcement effectiveness, grounded in Congress’ original intent and focused on bringing actions that actually prevent investor harm instead of headlines and inflated numbers,” the SEC said. 

Some crypto companies are still in the firing line

Despite the SEC’s enforcement shift, several crypto companies were still hit with enforcement actions in 2025.

In May 2025, Unicoin and four of its current and former executives were sued by the SEC for allegedly raising $100 million by misleading investors about certificates that purported to convey rights to receive Unicoin tokens and stock. However, the platform has accused the agency of distorting its regulatory statements to build a case. 

The SEC also filed a civil complaint against Ramil Ventura Palafox in April 2025, CEO of Praetorian Group International, for allegedly orchestrating a $200 million Ponzi scheme. A parallel criminal case brought by the US Department of Justice resulted in Palafox’s February sentence of 20 years in prison. 

Magazine: Your guide to surviving this mini-crypto winter

Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently. Read our Editorial Policy https://cointelegraph.com/editorial-policy

Polymarket has become one of decentralized finance’s most profitable protocols after a pricing overhaul, generating about $7.1 million in fees in the first week of the second quarter, according to new data.

That pace implies an annualized run rate of roughly $365 million if sustained, placing the onchain prediction platform among the industry’s top fee generators and giving it nearly all of the sector’s revenue, at 96.8% of onchain prediction market fees.

The gains follow a March 30 pricing change that pushed daily fees to around $1 million, a level that has largely held as trading activity remains elevated, data from DeFiLlama shows, and make Polymarket the eighth-largest DeFi protocol by fees, along with stablecoin issuers Circle (USDC) and Tether (USDT) and decentralized derivatives exchange Hyperliquid.

Onchain metrics also show Polymarket’s footprint beyond fees. Total value locked on the platform was over $432 million on Tuesday, according to DeFiLlama data, close to its November 2024 US election high of around $510 million, as its share of onchain prediction market revenue rises.

ICE backs Polymarket, but regulation uncertainty remains

Polymarket’s fee engine has started to attract more mainstream partners. Intercontinental Exchange, the owner of the New York Stock Exchange, deepened its bet on Polymarket on March 27, completing a $600 million cash investment as part of a broader $2 billion commitment that will see ICE distribute the platform’s event-driven data to institutional clients. 

Related: Iran war bets turn prediction markets into real-time macro radar: Sygnum

At the infrastructure level, Polymarket announced Monday that it is replacing its bridged USDC.e collateral on Polygon with a new 1:1 USDC-backed token called Polymarket USD, which will take over as trading collateral as part of the platform’s April exchange upgrade, as it continues to spin up highly-traded markets on the US-Iran conflict, oil, inflation and equities indices.

Despite its growing revenue, regulation remains a risk. Prediction markets continue to face pushback from some US states and gambling regulators elsewhere, including recent moves by Hungary and Portugal to order local blocking, and Argentina issuing a countrywide block on Polymarket, arguing that the platform operates as an unlicensed gambling site.

Magazine: Bitcoin’s ‘biggest bull catalyst’ would be Saylor’s liquidation — Santiment founder

Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently. Read our Editorial Policy https://cointelegraph.com/editorial-policy

TLDR:

Tom Lee’s Bitmine acquired 71,252 ETH last week, its highest single-week buying pace since December 2025. 
Bitmine’s total ETH holdings reached 4,803,334 tokens, representing 3.98% of the entire Ethereum supply. 
With 3,334,637 ETH staked at $7.1B, annualized staking revenues have grown to $196 million as of April 2026.
Bitmine’s combined crypto, cash, and investment holdings reached $11.4B, backed by $864 million in available cash reserves.

Tom Lee’s Bitmine Immersion Technologies (NYSE American: BMNR) acquired an additional 71,252 ETH last week, pushing total holdings to 4,803,334 ETH. 

That figure represents approximately 3.98% of the entire Ethereum supply. Combined crypto, cash, and investment holdings reached $11.4 billion, including $8.64 billion in ETH and $864 million in cash. 

With 3,334,637 ETH currently staked at $7.1 billion, Bitmine remains the largest Ethereum treasury in the world.

Weekly ETH Purchase Marks Highest Acquisition Pace Since December 2025

The 71,252 ETH acquired last week marks Bitmine’s fastest weekly buying pace since December 22, 2025. At $2,123 per ETH, the total ETH stack is now valued at approximately $8.64 billion. 

Chairman Tom Lee has maintained an accelerated buying schedule over each of the past four consecutive weeks.

Lee attributed the increased pace to a broader market view. He described the current period as the final stages of what he calls a “mini-crypto winter.” 

The company sees present prices as an entry opportunity before an anticipated ETH leadership cycle.

Bitmine is now 79% of the way toward its stated target of owning 5% of the total ETH supply. Lee referred to this milestone internally as the “Alchemy of 5%,” a goal the company has been pursuing over the past nine months.

“In the past week, we acquired 71,252 ETH, which is the highest pace of buys since the week of December 22, 2025,” Lee stated. 

The pace of acquisitions shows no sign of slowing, given the company’s cash reserves of $864 million still available for deployment.

$7.1 Billion in Staked ETH Powers Growing Staking Revenue

Of Bitmine’s 4,803,334 ETH, a total of 3,334,637 tokens are currently staked, representing roughly 69% of total holdings. 

At $2,123 per ETH, that staked position carries a current value of $7.1 billion. Annualized staking revenues have reached $196 million, with a seven-day yield of 2.78%.

That yield slightly exceeds the CESR benchmark rate of 2.74%, administered by Quatrefoil. At full deployment through its MAVAN staking platform, Bitmine projects annual staking rewards of $282 million. 

MAVAN, the Made in America Validator Network, was built initially to support Bitmine’s own treasury operations.

The platform is now being opened to institutional investors, custodians, and ecosystem partners. 

Lee noted that Bitmine has staked more ETH than any other entity globally, a position supported by the scale of its treasury.

Beyond ETH, total holdings include 198 Bitcoin, $200 million in Beast Industries, and $92 million in Eightco Holdings (NASDAQ: ORBS). The ORBS position gives Bitmine indirect exposure to OpenAI.

 The company also received approval to uplist from NYSE American to the New York Stock Exchange, effective April 9, 2026, continuing under the ticker “BMNR.”

Key points:

Bitcoin rose above the $70,000 level on Monday, but analysts remain skeptical, expecting a drop below the $60,000 support.

Several major altcoins have bounced off their supports, indicating demand at lower levels.

Buyers pushed Bitcoin (BTC) above the $70,000 level, but failed to sustain the breakout. That suggests the bears have not given up and are trying to retain control. Select analysts believe that BTC is likely to dip below its $60,000 low before bottoming out.

Another negative view came from Glassnode, which said in its recent report that its Long-Term Holder Realized Loss metric, which tracks losses locked in by investors who held coins for more than six months before selling, suggests the selling pressure may not have exhausted. The 30-day simple moving average of the indicator at $200 million per day needs to drop to levels below $25 million for the base formation to begin.  

Among all the bearishness, there is a silver lining for the bulls. According to crypto sentiment platform Santiment, social media platforms recorded five bearish BTC comments for every four BTC bullish comments, the most since Feb. 28.

That is a good sign as markets typically move in the opposite direction of the crowd’s expectation, suggesting “things can turn positive sooner rather than later,” Santiment added.  

Could buyers extend the recovery in BTC and the major altcoins? Let’s analyze the charts.

S&P 500 Index price prediction

The S&P 500 Index (SPX) has pulled back to the 20-day exponential moving average (6,601), indicating solid buying at lower levels.

Sellers will attempt to halt the recovery at the 20-day EMA, but if the bulls prevail, the index may rise to the 50-day simple moving average (6,777). Sellers are expected to pose a strong challenge at the 50-day SMA.

On the downside, the bears will have to yank the price below the 6,316 level to signal the resumption of the corrective phase. The next support to watch out for on the downside is the 6,147 level.

US Dollar Index price prediction

The US Dollar Index (DXY) is stuck between the 20-day EMA ($99.59) and the 100.54 overhead resistance.

Sellers are attempting to pull the price below the 20-day EMA. If they can pull it off, the index may decline to the 50-day SMA (98.44). That suggests the index may trade inside the large range between 95.55 and 100.54 for a while longer.

Buyers will have to maintain the price above the 20-day EMA to retain control. If they do that, the possibility of a break above the 100.54 level increases. The index may then start a new up move to the 102 level and subsequently to the 103.54 level.

Bitcoin price prediction

BTC closed above the moving averages on Sunday, indicating that the bulls are attempting a comeback.

The flattish moving averages and the relative strength index (RSI) near the midpoint do not give a clear advantage either to the bulls or the bears. If the price sustains above the moving averages, the bulls will attempt to drive the BTC/USDT pair above the $72,000 resistance. If they succeed, the BTC price may reach the $74,508 to $76,000 resistance zone.

Sellers are likely to have other plans. They will strive to pull the pair below the support line, invalidating the bullish setup. That opens the doors for a decline to the $62,500 to $60,000 support zone.

Ether price prediction

Ether (ETH) closed above the moving averages on Sunday, clearing the path for a rally to the $2,200 resistance.

Sellers will attempt to halt the recovery at the $2,200 level, but if the buyers pierce the resistance, the ETH/USDT pair may march to the $2,400 resistance. The bulls will have to propel the ETH price above the $2,400 level to start a sustained recovery to $2,800 and then to $3,050.

Alternatively, if the ETH price turns down sharply from the $2,200 level and breaks below the moving averages, it suggests that the pair may consolidate for some time. The support of the range is at the $1,916 level.  

BNB price prediction

BNB’s (BNB) bounce off the $570 level has reached the moving averages, where the bears are expected to step in.

If the price turns down sharply from the moving averages, the BNB/USDT pair risks breaking below the $570 level. If that happens, the BNB price may resume the downtrend and plummet to the $500 level.

Instead, if buyers drive the price above the moving averages, it suggests that the pair may extend its stay inside the $570 to $687 range for a few more days. Buyers will be back in the driver’s seat on a close above the $687 level.

XRP price prediction

XRP (XRP) turned up from the crucial $1.27 support on Sunday, indicating that the bulls are aggressively defending the level.

The bulls will have to secure a close above the 50-day SMA ($1.39) to improve the prospects of a rally to the $1.61 level and later to the downtrend line of the descending channel pattern. 

On the contrary, if the XRP price turns down sharply from the moving averages and breaks below $1.27, it suggests that the bears remain in control. The XRP/USDT pair may plunge to the $1.11 level and eventually to the support line near the $1 level.

Solana price prediction

Solana (SOL) has been oscillating inside the $76 to $98 range for several days, indicating a tough battle between the bulls and the bears.

If buyers push the price above the moving averages, the SOL/USDT pair may ascend to the $98 resistance. Sellers are expected to fiercely defend the $98 level in an attempt to keep the SOL price inside the range. 

The next trending move is expected to begin on a close above $98 or below $76. If buyers thrust the price above the $98 resistance, the pair may surge to the $117 level. Conversely, a close below the $76 support might sink the pair to the $67 level.

Related: First real bull signal since 2025? Five things to know in Bitcoin this week

Dogecoin price prediction

Dogecoin (DOGE) remains stuck inside a tight range between the 50-day SMA ($0.09) and the $0.09 level, signaling a balance between supply and demand.

Buyers will gain the upper hand on a close above the moving averages. The DOGE/USDT pair may rally to the $0.11 level and subsequently to the $0.12 resistance. If the price turns down from the overhead resistance, the pair may swing between $0.12 and $0.09 for a while.

If the DOGE price turns down from the moving averages and breaks below the $0.09 level, it signals that the bears have seized control. The pair may slump to the $0.08 level and thereafter to the $0.06 level.

Hyperliquid price prediction

Buyers are attempting to maintain the Hyperliquid (HYPE) price above the 20-day EMA ($37.03) but are facing strong resistance from the bears. 

If the HYPE price closes above the 20-day EMA, it suggests that the lower levels continue to attract buyers. The HYPE/USDT pair may then rally to $41.59 and, after that, to the $44 level.

This positive view will be negated in the near term if the price turns down and breaks below the 50-day SMA ($34.48). The pair may then witness a deeper correction to the $30 level.

Cardano price prediction

Cardano (ADA) closed above the $0.25 level on Sunday, signaling that the bears are losing their grip.

There is resistance at the 50-day SMA ($0.26), but if the bulls overcome it, the ADA/USDT pair may reach the downtrend line of the descending channel pattern. Sellers are expected to defend the downtrend line, as a close above it signals a potential short-term trend change.

The $0.22 level is the crucial level to watch out for on the downside. If the support breaks down, the ADA price may start the next leg of the downtrend to the support line near the $0.16 level.

The Ethereum Foundation has accelerated its treasury staking push, deploying $46.2 million in Ether in its largest move to date after the recent BitMine sale.

On Monday, the foundation’s treasury multisignature wallet made 11 deposits into the Ethereum Beacon Deposit Contract, each of roughly 2,047 Ether (ETH), totaling 22,517 tokens worth roughly $46.2 million, according to data from Arkham Intelligence.

The Ethereum Foundation started staking ETH in February, depositing 2,016 ETH and outlining plans to stake up to 70,000 ETH, with rewards reinvested into research, ecosystem development and grants.

The foundation also deposited a smaller 31 ETH tranche earlier this month, bringing the total staked holdings to roughly 24,564 ETH as it shifts to staking to generate yield, rather than relying on periodic ETH sales, which have historically drawn criticism.

Related: Ethereum builders propose ‘economic zone’ to tackle L2 fragmentation

EF sells 5,000 ETH to BitMine in OTC deal

The new staking move comes after the EF completed an over-the-counter (OTC) sale of 5,000 Ether to BitMine Immersion Technologies, valued at about $10.2 million. The foundation said proceeds would support core operations, including protocol research, ecosystem growth and community grants.

The transaction marked the foundation’s second direct OTC sale to a corporate buyer, following a 10,000 ETH sale to SharpLink Gaming in July 2025.

The EF currently holds about $361 million in onchain assets, with the vast majority, roughly $360.8 million, held in Ether on the Ethereum network, alongside small balances across networks like Arbitrum, Optimism and Bitcoin, according to Arkham.

Related: Ethereum risks losing No. 2 spot as stablecoins gain ground

Ether price risks further decline

Ether fell below the $2,000 level over the weekend, raising the risk of a deeper correction. Analysts, including Onur, CryptoWZRD and Ted Pillows, pointed to repeated failures at $2,200 and weakening momentum, with some warning ETH could fall toward the $1,750–$1,850 range.

Demand for Ether has also turned negative, hitting its lowest level in 16 months, according to Capriole Investments.

Magazine: Ethereum’s Fusaka fork explained for dummies — What the hell is PeerDAS?

Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently. Read our Editorial Policy https://cointelegraph.com/editorial-policy

So far, the 2026 cycle has been a bear market. 

Notably, one clear signal is when stablecoin market caps drop alongside crypto prices. In Q1, USDT fell 1.6%, showing that money was leaving crypto instead of sitting on the sidelines like it would in a bull market, where investors hold dry powder for the next risk-on move.

The result? The total crypto market dropped 20.8% over the same period, confirming the bearish trend.

Investors weren’t chasing dips. Instead, they were exiting. TOTAL2 (market cap ex-BTC) fell 19.17%, meaning capital didn’t rotate into altcoins either, which only adds to the bearish picture.

In essence, stablecoins played a central role in defining crypto’s Q1 trend. 

According to AMBCrypto, this is where the recent 10x Research report becomes relevant.

It highlights that USDT issuance on Ethereum [ETH] has recently outpaced Tron [TRX], with a near 2.6% monthly jump in volume on ETH. That closes the gap with TRX, which is now just 1% higher, signaling that liquidity is starting to flow into high-cap networks, consistent with the total crypto market cap rising 1.6% so far in April.

From a technical standpoint, this combination of rising market cap and stablecoin inflows is significant.

When stablecoins move back into major networks, it suggests that investors are redeploying capital. This kind of flow often forms a base for price support, and we’re already seeing it in action.

ETH has rallied 1.87% from its $2.1k open, reinforcing that this setup is gaining traction.

Naturally, the question arises: With stablecoins back in play, could this momentum be laying the foundation for a broader Q2 rally, potentially reversing the bearish trend from Q1?

Stablecoin flows hit major networks, market eyes potential rally base

Apart from serving as a hedge or a bridge, stablecoins often act as an early signal for market activity. 

A striking example is the recent activity around Solana [SOL].

Circle minted $3.25 billion USDC on Solana in just 7 days, the largest weekly issuance of 2026. This sudden influx of liquidity into the network naturally raises questions about investor intent and market positioning.

But it doesn’t stop there.

According to Artemis Terminal, monthly stablecoin supply changes on Ethereum have reached a staggering $10.3 billion, the largest among all L1 networks. This “coordinated” increase in stablecoin supply across major networks suggests that investors are actively redeploying capital.

Consequently, the critical question now becomes: Do these issuers have insight into opportunities or risks that the broader market hasn’t priced in yet?

According to the 10x Research report, Ethereum’s relative undervaluation appears to be driving much of this influx.

From a technical standpoint, Ethereum has dropped 57% from its August 2025 peak, making it look relatively cheap, especially when compared to Bitcoin, which is down roughly 42% over the same period.

This is particularly significant given that BTC dominance continues to face resistance around 60%.

Adding to this, Wall Street’s integration into DeFi is gaining momentum, bringing institutional capital to the market.

Taken together, these factors suggest that Ethereum and other high-cap L1s may be positioning for early Q2 momentum, with stablecoin flows acting as a leading indicator of where capital may move next.

Final Summary

Rising USDT issuance on ETH and large USDC minting on SOL indicate capital is redeploying.
With ETH down 57%, BTC dominance under pressure, and Wall Street entering DeFi, stablecoin inflows may act as a leading indicator for Q2 momentum.